First Home Owner Grant Victoria 2026

What Is the First Home Owner Grant in Victoria?

The Victorian First Home Owner Grant (FHOG) is a one-off payment from the state government to help eligible first home buyers purchase or build a new home. Administered by the State Revenue Office (SRO) of Victoria, the grant provides $10,000 for new homes in metropolitan Melbourne and a more generous $20,000 for new homes in regional Victoria.

The enhanced regional grant of $20,000 was introduced to encourage population growth and housing development outside of Melbourne. Regional Victoria encompasses all areas beyond the metropolitan boundary, including popular centres such as Geelong, Ballarat, Bendigo, Shepparton, the Mornington Peninsula, and the Surf Coast. This doubled grant amount, combined with typically lower property prices in regional areas, makes regional Victoria an especially attractive option for first home buyers.

Like all state-based FHOGs, the Victorian grant is designed to supplement — not replace — your deposit. It can be combined with federal initiatives such as the First Home Guarantee and the First Home Super Saver scheme to significantly reduce the upfront cost of home ownership.

VIC FHOG Eligibility Criteria

To qualify for the Victorian First Home Owner Grant, you must satisfy all of the following conditions:

• You must be an Australian citizen or permanent resident (at least one applicant if applying as a couple)
• You must be aged 18 years or older
• You (or your spouse/partner) must not have previously owned residential property in Australia, including investment properties
• You (or your spouse/partner) must not have previously claimed a first home owner grant in any Australian state or territory
• The home must be a new home — newly built, purchased off the plan, or substantially renovated
• The total value of the home must not exceed $750,000
• You must move into the property within 12 months of settlement or completion and live there continuously for at least 12 months

Victoria's residence requirement is notably longer than some other states — you must live in the property for a continuous period of 12 months, compared to six months in NSW and Queensland. This is an important consideration when planning your purchase.

Property Value Cap: $750,000

The Victorian FHOG applies to new homes valued at up to $750,000. This is more generous than NSW's $600,000 cap and opens up a wider range of properties, particularly in Melbourne's outer suburbs and growth corridors where new housing estates are actively being developed.

The $750,000 cap includes the total value of the property, which for a house and land package means the combined price of the land and the building contract. If you are building on your own land, the total is the land value plus the construction cost. Properties valued at even slightly more than $750,000 are ineligible — there is no partial grant for properties over the threshold.

In practice, the $750,000 cap is sufficient for many new homes in Melbourne's western and northern growth areas (such as Melton, Wyndham, Hume, and Whittlesea), as well as most regional centres. Inner-city and eastern suburbs are more challenging at this price point, though some off-the-plan apartments may fall within the cap.

Metropolitan vs Regional Victoria: Understanding the Grant Difference

The distinction between metropolitan Melbourne and regional Victoria is critical because it determines whether you receive $10,000 or $20,000. The boundary is set by the SRO and broadly follows the 31 metropolitan local government areas (LGAs). Key points to be aware of:

• Metropolitan Melbourne ($10,000): Includes Melbourne CBD, inner suburbs, and all 31 metro LGAs extending to areas like Melton, Cardinia, and Nillumbik
• Regional Victoria ($20,000): Includes Geelong, Ballarat, Bendigo, Shepparton, Warrnambool, Mildura, the Surf Coast, Bass Coast, Macedon Ranges, and all other non-metro areas

Some areas that feel regional may technically fall within the metropolitan boundary, and vice versa. The Mornington Peninsula, for example, is classified as regional despite being relatively close to Melbourne. Always verify the classification of your intended purchase location with the SRO before making assumptions about which grant amount applies.

New Homes vs Existing Homes in Victoria

The FHOG in Victoria is exclusively for new homes. The SRO defines a new home as one that has not been previously occupied or sold as a place of residence. This includes:

• Brand new houses, townhouses, and apartments that have never been lived in
• Off-the-plan purchases of newly constructed dwellings
• Substantially renovated homes where the renovation is so significant that the property is effectively new
• Homes constructed by an owner-builder on land they own

If you are purchasing an existing (established) home, you cannot access the FHOG. However, you are still eligible for the stamp duty exemption on properties up to $600,000 and the concessional rate between $600,000 and $750,000. For many first home buyers in Victoria, the stamp duty savings on an existing home can exceed $30,000, so the absence of the FHOG does not mean there are no incentives available.

VIC Stamp Duty Exemptions and Concessions for First Home Buyers

Victoria offers generous stamp duty concessions for first home buyers, and these apply to both new and existing homes — a significant advantage over the FHOG which is restricted to new properties only.

Full Stamp Duty Exemption (Up to $600,000)

First home buyers purchasing a property valued at $600,000 or less pay zero stamp duty. On a $600,000 property, this exemption saves approximately $31,070 — a substantial reduction in upfront costs. This applies regardless of whether the home is new or established, as long as it will be your principal place of residence.

Concessional Rate ($600,000 to $750,000)

For properties valued between $600,000 and $750,000, a concessional stamp duty rate applies on a sliding scale. The discount diminishes as the property value approaches $750,000. For instance, a property valued at $650,000 would attract a significantly reduced duty amount compared to the standard rate, while a property at $740,000 would receive only a modest concession. Above $750,000, the full standard duty rate applies.

Combining FHOG and Stamp Duty Savings

The maximum possible savings for a Victorian first home buyer occur when purchasing a new home in regional Victoria valued at $600,000 or less. In this scenario, you would receive the $20,000 regional FHOG plus the full stamp duty exemption worth approximately $31,070 — a total saving of over $51,000. Even in metropolitan Melbourne, buying a new home under $600,000 delivers savings of approximately $41,070 when combining the $10,000 metro FHOG with the stamp duty exemption.

How to Apply for the Victorian FHOG

There are two application pathways for the Victorian First Home Owner Grant:

Option 1: Through Your Lender

The most common approach is to apply via your bank or lender at the same time you submit your home loan application. Your mortgage broker will include the FHOG application forms with your loan documentation. The grant is then paid directly to your lender at settlement and credited towards your purchase. This approach is straightforward and ensures the grant is available exactly when you need it.

Option 2: Directly with the State Revenue Office

If you are not financing through a lender (for example, if you are paying cash), you can apply directly to the SRO within 12 months of settlement or completion of construction. You will need to submit your application online through the SRO website along with supporting documentation, including your contract of sale, proof of identity, and a statutory declaration.

Other First Home Buyer Benefits Available in Victoria

First Home Guarantee (Federal Scheme)

The First Home Guarantee allows eligible buyers to purchase with just 5% deposit and no Lenders Mortgage Insurance. Property price caps in Victoria are $800,000 for Melbourne and $650,000 for regional areas. Income limits apply: $125,000 for singles and $200,000 for couples. This scheme can be combined with the Victorian FHOG for maximum benefit.

First Home Super Saver Scheme

The federal FHSS scheme lets you withdraw up to $50,000 in voluntary super contributions to put towards your first home deposit. Concessional contributions are taxed at just 15%, which makes this scheme particularly effective for higher-income earners who would otherwise pay a higher marginal tax rate on savings held in a standard bank account.

Victorian Homebuyer Fund

The Victorian Homebuyer Fund is a shared equity scheme where the state government contributes up to 25% of the purchase price (or 35% for Aboriginal and Torres Strait Islander buyers). This reduces the size of your mortgage and your ongoing repayments. Eligibility is based on income, property price, and whether you will live in the home as your principal residence. The property price cap is $950,000 in Melbourne and $700,000 in regional Victoria.

Tips for Maximising Your First Home Buyer Benefits in Victoria

• Consider regional Victoria: The $20,000 regional FHOG is double the metro grant. Regional centres like Geelong, Ballarat, and Bendigo offer strong infrastructure, growing economies, and more affordable housing.
• Target new builds under $600,000: This gives you both the FHOG and the full stamp duty exemption for maximum savings.
• Explore house and land packages: Growth areas in Melbourne's west and north (Melton, Wyndham, Hume) and regional centres frequently have packages under the $750,000 cap.
• Combine federal and state schemes: Use the FHOG, stamp duty exemption, First Home Guarantee, and FHSS scheme together for the strongest possible financial position.
• Plan for the 12-month residence requirement: Victoria requires 12 months of continuous residence, so factor this into your plans before purchasing.